Friday 28 April 2017

HUMAN RESOURCE MANAGEMENT (SM43)

Introduction


Human resource management can be considered as heart of every organisation because this department is reason behind bringing synchronization in place of work. It recruits and selects employees for organisations so that business operations can be suitable. It is important to understand values of enterprises in order to bring victory for ventures. This department analyses jobs and segments this among employees. Moreover, it also motivates employees to work in a better way thereby, bringing great change in work process. This department provides training to every employee so that they can perform in an excellent way in their place of work. In this study, Posh Nosh Limited is taken as an example for understanding more about importance of this department for every venture. This company is a small sized enterprise of UK, which prepares fast food for people. In order to bring growth in this company, need for human resource department has increased greatly.

Task 1

LO1

AC 1.1 Considering better approach for Posh Nosh and reason behind choosing such approach

According to Ones et al. (2017, p.210), personal management and human resource management are two important aspects of every organisations that have remained highlighted to every manager of companies. Personnel management is much different term than that of human resource management because personnel management emphasizes upon managing personnel individually. However, human resource management deals with group of employees and motivating them towards bringing success for every venture. Posh Nosh is a small sized enterprise and human resource management can be considered as better approach for this venture. This is so because it deals with recruiting capable candidates for working in this company. Hard work of such staffs will lead to bringing effective results in name of this entity. It is important to conduct personnel management also but if human resource practices are followed, personnel management will grow automatically. Pindek et al. (2017, p.30) mentioned that innovation and creativity are two important factors that need to be present in small businesses. In workplace of Posh Nosh, these two factors are very significant in bringing great reformation in work processes of this entity. This can only be possible if human resource approach is taken into consideration.

AC 1.2 Assessing functions of human resource management contributing towards purposes of this small sized organisation

Human resource management of Posh Nosh Limited needs to be very effective so that it can recruit quality candidates, which will lead to bringing great success in business of fast food. Melton and Meier (2017, p.120) commented that HRM in involved in taking effective decisions for entities in order to bring better working conditions.
Employees’ development:
Korff et al. (2017, p.50) opined that employees development is an important function of HRM because it leads to maintain high standard performance of employees in work environment. This company can develop long-term relation with staffs by developing values of staffs. This department leads to bring progression in career opportunities for employees.
Performance of staffs:
Examining performance of employees in work environment is another function of HRM department (Bohlouli et al. 2017, p.85). It is essential that this venture examines work of staffs minutely and understand their requirements suitably. This will lead to train unskilled employees in a proper way.
Recruitment and selection:
Saridakis et al. (2017, p.88) described that recruitment and selection is important function of HRM because it supports in bringing effective candidates from pool of people. It can become profitable for this firm if they use such approach because such department can analyse talents of candidates and recruit them properly.
Figure 2: Functions of Human Resource Management
(Source: Bohlouli et al. 2017, p.85)

AC 1.3 Evaluating responsibilities of line managers in human resource management

As per Cleveland et al. (2017, p.390), line managers can be defined as mentors of every employee of any enterprise. In HRM practices of this company, line managers can train staffs properly and advise them correctly to improve their performance properly. Such activities can lead to developing important working skills within employees. Communication skills and forming proper linkage with other co-workers are important to be developed within every staff of this venture. This can be considered as a great responsibility of line managers. Such managers can help HRM to make understand employees and provide them with suggestions that can lead to developing work practices of this entity. Line managers had to manage working of outsourcing of work (Tzabbar et al. 2017, p.135). Such responsibility of line managers is inclined towards bringing development in work environment. Maintaining proper relation with employees and management of personnel are important role that is played by line managers for executing proper work practices.

AC 1.4 Analysing influence of legal as well as regulatory framework upon Human resource management

HRM practices are enhancing greatly because desire of every company in conducting international business has developed a lot (Burdett et al. 2017, p.16). It has become equally important to comply with every regulatory framework for saving employees from any ill-activities of enterprises.
Race relation Amendment Act of year 2000 states that skills important for workplace are not restricted to any race. Every human skill needs to be equally valued without conducting any racial discrimination. This venture needs to understand such norms for creating values of employees of this business house.
Sex Discrimination Act of 1995 states that employees are not subjected to any particular race or color or gender. Every staff has their own value in workplace that needs to be understood by each venture of world.
Data Protection Act helps in protecting data related to employees of this entity. This helps employees to keep their confidential information secured and only they can access their information suitably. These acts need to be considered by this venture so that they can conduct their business properly.

Task 2

LO2

AC 2.1 Analysing reason of HR planning and its significance in businesses

As stated by Masri and Jaaron (2017, p.475), HR planning is very important in order to bring satisfaction within staffs, retain employees, managing employees properly and understanding requirements of tasks appropriately. In addition to this, HR planning can help in attaining calm work atmosphere in workplace and maintain proper relation with every subordinate employee correctly. These things will support Posh Nosh to bring effective HR planning that can lead to improving their business suitably. In coming years, this company can emerge as a successful entity if such planning processes are followed. Sometimes, issues can occur in this business house that needs to be resolved as early as possible. Proper planning of HR will help in bringing serene atmosphere in workplace and motivate employees to work effectively. Human resource management had to deal with large base of staffs and understand their requirements correctly (Allen et al. 2017, p.324). This business house cannot deal with problem-related to ineffective work practices of employees. As a result, CEO of this company felt the need of convenient HR planning for improving work processes.

AC 2.2 Outlining stages involved in planning of requirements of human resource

As commented by McDonnell et al. (2017, p.88), planning of human resource is such a process that initiates from recruiting quality managers. This company had to hire suitable managers so that they can use their experience to plan work process of this business firm. Initially, such managers need to analyse entire work processes of this venture. Then, such process can be followed by understanding skills of employees. This will be possible when open discussion with staffs are done and ask them for suggestion regarding HR planning process. It is important to know motives of employees so that they can be served as required. Moreover, this business unit needs to open up their every work process in front of HR managers. This will help such manager to undertake suitable steps while preparing a plan for HR activities of this entity. After all these formalities, HR needs to use their experience accurately in developing a plan that would incorporate in bringing enhancement in work practices.

AC 2.3 Comparing recruitment and selection processes of Posh Nosh

Posh Nosh is a small-sized entity that prepares fast food for people whereas NHS is a public sector that provides health services for people. Recruitment and selection process differs in every organisation Aquilani et al. (2017, p.185). Posh Nosh uses internal recruitment process for recruiting candidates for their venture but NHS uses external recruitment process for hiring candidates for their enterprises. Posh Nosh recruits candidates from reference of existing candidates and promotes existing candidates to other higher posts for suitable results. However, NHS uses external recruitment techniques, where this venture selects candidates from large pool of candidates in global arena. As a result, quality candidates are recruited thereby, bringing more effectiveness in work. This company uses internal recruitment process because employees know norms and regulation of this venture and suitable candidates are referred by them for improving work practices. External recruitment process of NHS is conducted by HR of this enterprise by performing an interview as well as written test. Therefore, different techniques are used for recruiting candidates in both these sectors (Nhs.uk, 2017).
Figure 3: Types of Recruitment
(Source: Aquilani et al. 2017, p.185)

AC 2.4 Evaluating effectiveness of recruitment and selection

Ogbonnaya et al. (2017, p.96) explained that recruitment and selection process are important for every venture and it is important to undertake suitable process of recruitment so that profit can be ensured in long run of business. Recruitment process of both these organisations is different and effective in their own terms. Posh Nosh is a small enterprise and it cannot spend many funds in process of recruitment. That is why; internal recruitment process has been undertaken by this venture in order to enhance their work practices. Possibility of failing in this hiring process is less thus; internal recruitment is effective for this venture. However, NHS follows external recruitment process because it will lead to bringing efficient employees work under such venture. People can be treated in a proper manner if quality candidates are recruited in NHS. Linacre and Linacre (2017, p.42) mentioned that external recruitment process can lead to bringing innovative ideas for workplace. These recruitments processes lead to building suitable communication with employees, which is essential for execution of business in long run.

Task 3

LO 3

AC 3.1 Assessing link between motivational theory and reward system of this venture

Motivational theory and reward system of entities are important in order to keep employees indulged in bringing huge profit for enterprises (Becker, 2017, p.2). Motivational theory of employees is explained by Maslow’s hierarchy of needs. This theory states that there are some needs like self-actualisation needs, esteem needs, social needs, safety needs and physiological needs of employees that need to be considered by enterprises. This organisation has incorporated these levels of needs for satisfying employees suitably. This will help in motivating them more towards work of this enterprise. Moreover, reward system is also followed in this venture when employees perform excellently in any task. This makes them more inclined towards task and makes them more enthusiastic to perform far better in workplace. Kanfer et al. (2017, p.350) stated that Creativity can be ensured when satisfaction level of employees is met properly. This enterprise understands importance of employee satisfaction, therefore, uses reward system for improving work process. As a result, Maslow’s hierarchy of needs and rewards system are linked together in bringing out best skills of staffs in every task (Refer to appendix 2).

AC 3.2 Evaluating key elements involved in job evaluation process and different factors determining payment

Determining pay of staffs is completely based on employees’ performance in every task. In this venture, assessment is done regarding employees involvement in every task and in what way, they conduct work for bringing profit for this entity. As opined by Lederer et al. (2017, p.41), job evaluation process is a step-by-step process that needs to be carefully for ensuring better performance of every staff of organisations. In this enterprise, staffs need to provide their full support in working processes of top management by submitting a self-assessment form to them. This will lead top management to analyse progression in work process and take suitable measures for payment of staffs. Team leaders need to be very efficient in dealing with their followers because team leaders will report to managers regarding performance of staffs. Such process helps in taking proper decision regarding pay of employees. Afterwards, manager discusses regarding this process with subordinates for understanding more about employees performance. When total analysis is done, decision of paying staffs is taken thereby, removing any conflict if present.

AC 3.3 Assessing significance of reward systems

In the opinion of Oke (2017, p.380), reward system is a topic of interest for every staff because it adds more to their development in skills. However, reward system proves fruitful when it is proper reward is given to efficient employees. It is important for manager to calculate performance of staffs so that design of rewards can be ascertained. This affects employees’ thinking greatly and energizes them to perform in a far better way. In Posh Nosh, reward system has brought effective outcomes for this venture. Employee turnover has been reduced at an immense level because extra payment is provided to those employees, who provide creative ideas in workplace. As a result, every staff wants to develop such skills of creativity and innovation within themselves in order to achieve reward. Employees work with more enthusiasm thereby, bringing success for this business sector. Brewster et al. (2016, p.885) informed that human resource department decides what rewards will energize employees to work in a much-better way. HRM of this entity needs to make such decisions so that staffs can be retained suitably.  

AC 3.4 Suggesting different ways for examining various methods used for monitoring performance of employees

Close monitoring of performance of employees needs to undertake by venture for ensuring victory in competitive market (Sparrow et al. 2016, p.946). In Posh Nosh, managers use daily work report for evaluating employee performance. In this report, work of every staff is recorded properly so that managers can understand that. Apart from this, managers closely monitor and assess performance of employees during task. Supervision is done accurately in order to understand work processes of this business house. However, in what way, staffs handle some difficulties in work arena, is also considered by managers of this venture. This helps them to know about their decision-making skills and problem handling skills. As a result, it becomes easier to gain knowledge regarding efficiency of every employee in course of work. Konrad et al. (2016, p.85) demonstrated that regular attendance of staffs assists in formulating performance of employees in every task. In this entity, regular attendance of employees is also recorded and reward is provided to punctual employees in end of every month.

Task 4

LO 4

AC 4.1 Identifying situations that leads employees to cease employment process

Ceasing employees in a firm can be undertaken as a significant role of HRM because it leads to remove every uncertainty of that particular firm (Tenhiälä et al. 2016, p.180). Situations that can lead to cessations of employees are less knowledge of existing employees regarding work type, huge amount involved in hiring new candidates and requirement of training for new employees. When employee turnover occurs in a firm, human resource department needs to come into action and take proper decision in recruiting new candidates. Huge cost is involved in providing training to new staffs thereby, leading to losses for this entity. It is important to understand that immense time is involved in providing training to new employees. That is why; cessation process is undertaken by enterprises for guaranteeing victory in long run of business. This venture needs to analyse every such factor and take suitable steps to reduce employee turnover. Besides, employees’ satisfaction needs to be considered for minimizing turnover of employees.

AC 4.2 Describing exit processes of employment used in two different enterprises

Armstrong and Taylor (2017, p.416) commented that Cessation of employees is done by every small sized enterprise for betterment in workplace. However, turnover of employees cannot be reduced according to need to this entity. Exit procedure followed by Posh Nosh is that staffs submit their resignation directly to managers while manager conducts a face-to-face talking session with employees know reason of resigning. Managers consider that it can affect their business drastically and tries their level best to retain employees by providing extra benefits to them. In NHS, when employees submit their resignation, top management looks after their previous track records. When top management finds any flaw, then they accept resignation but when it is found that this employee is very skilled, then top management provides them with promotion facilities. As a result, turnover of employee is minimised by using this technique greatly. Exit interviews are important because it helps in knowing flaws and faults of different venture (Refer to Appendix 1).

AC 4.3 Regulatory and legal framework effecting arrangements of employee cessation

Cessations of employees are significant responsibility of HR because they are required to comply with every legal framework of businesses (Chen et al. 2016, p.920). Laws like Right to Safety and protection of employees, freedom of leaving ventures and discrimination of employees in workplace are formed for protecting employees and providing them right to leave a job whenever they want. Companies need to undergo these frameworks for taking suitable decisions of retaining employees. This enterprise is a small-sized business firm where employees form base of their business. It is important that satisfaction within employees need to be ensured for constructive outcomes. It is recommended that ventures need to understand emotions and motives of staffs from initial stage only. This will stop employee turnover to a great extent. Moreover, laws are involved totally in this case. That is why such laws need to be analysed from initial stage for ensuring suitable performance.

Conclusion

Human Resource Management is of immense significance for every venture whether it is small-scale enterprise or large-scale enterprise. It is seen in course of this study that employees need to be suitably trained by HR department for ensuring better outcomes. Moreover, managers need to be inclined towards bringing constructive results for ventures. This will help every business houses to execute their work process conveniently. HR managers hold great responsibility leading employees in a right path so that they can perform in a proper way and meet organisational goals correctly. That is why; every employee needs to follow rules set by HR and HR too needs to conduct planning in such a way that brings benefit for business firms. It is important that HRM practices need to be developed after complying with rules and regulation. This will help in proper operation of business in every fiscal year.

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